July 12th, 2024

Drop in value of city homes more than covered by growth in other sectors

By Medicine Hat News on February 28, 2017.

The value of city homes fell only slightly up to mid-2016, according to the City of Medicine Hat’s new property tax assessment.

Notices to some 28,000 accounts were sent out on Monday for the 2017 tax year, with officials saying the total value of residential property class dropped by 0.2 per cent.

Over the same period non-residential, business, and industrial land and buildings rose by 1.8 per cent.

The end results is assessment growth of 0.33 per cent to a total of $8.58 billion across all classes, or about $30 million more than last year.

Finance general manager Denis Egert said that local property performed relatively well over the last two years.

“Despite the downturn in the economy, local non-residential market sales remained relatively strong and we saw only slight increases in vacancy rates,” Egert said. “(In 2015-2016) we continued to see growth in construction, including renovation, expansion and new development, albeit less than the previous year.”

The 2017-18 city budget predicts growth of about 0.5 per cent in each of the next two years. That document, passed in January, also calls for tax revenue increases of 4 per cent in each year, less the amount of growth.

Final adjustments are presented when city council considers the millrate in April. Final bills are sent out in May, and payments are due by June 30.

The assessment measures the value of a property at July 1 of the previous year for taxes owed this year.

Over the same time period in 2014-2015, the total assessment rose by 2.5 per cent, about equal parts attributable to new construction and rising home values.

Property owners have a deadline of 60 days from after the notice mailing date to review their evaluation and discuss any concerns with the city’s assessment department.

Appeals must be received by the clerk of the Assessment Review Board by May 1.

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